STORY HIGHLIGHTS

BRICS Summit ends with fruitful results

CNC

Added On October 18, 2016

The 8th BRICS summit has just concluded in India's pictursque western province of Goa.

The emerging-market bloc of BRICS, which groups Brazil, Russia, India, China and South Africa, issued Sunday a joint declaration, looking to play a bigger role in and contribute more to the global governance system.

GOA DECLARATION

The BRICS members adopted the Goa Declaration Sunday endorsing their commitment to act against the financing of terror groups and their supplies of weapons and other equipment.

Presidents Xi Jinping of China, Vladimir Putin of Russia, Michel Temer of Brazil and Jacob Zuma of South Africa, and their host, Indian Prime Minister Narendra Modi, vowed in the declaration to tackle the global economic slowdown and reform the world's financial architecture.

During the just-concluded BRICS summit in Goa, the New Development Bank(NDB) has become a buzz phrase.

There were high hopes that the bank could provide new momentum of growth and cooperation among BRICS countries.

NEW DEVELOPMENT BANK

In an exclusive interview with CNC, President of NDB says the bank will promote knowledge-sharing between its members.

SOUNDBITE (ENGLISH): K.V. KAMATH, NDB President

"I was at several other fora today where I indicated that learning from our all member countries can be taken as part of our knowledge-sharing between member countries. And I am sure there are other things in our member countries which we can take to a third country. So we as a New Development Bank want to share this knowledge, encourage exchange of views, and industrial opportunity arising from this knowledge. I think it will be easier to get to know each other and we will do exactly what you said...drive a global process."

Talking about the world economy, Kamath says it is not in recession.

SOUNDBITE (ENGLISH): K.V. KAMATH, NDB President

"The world economy as I see is not in recession. The growth rate that have shown in are quite attractive. And if you look at the west, the US is growing…if you look at the east the farthest, Japan is growing…it’s (only) Europe which could be a challenge…this is in the world context. Now within that you have two major blocs which are Asia and the BRICS. Within Asia, generally countries are doing well."

He adds that China is doing pretty well.

SOUNDBITE (ENGLISH): K.V. KAMATH, NDB President

"China has invested a lot in infrastructure and now the consumption is starting to up and that is to drive growth. And that is the model which we saw in other countries that have grown. So I think China is growing well."

According to the president, by setting up NDB, China serves as a rolemodel for other developing nations.

SOUNDBITE (ENGLISH): K.V. KAMATH, NDB President

"China I think is a strong driving force behind setting up of new institutions which in a way can represent tomorrow...that is developing countries which have aspirations and want to seize opportunities. I am sure that they will take the leadership of BRICS and drive it even further."

Furthermore, there are several initiatives to be driven forward.

SOUNDBITE (ENGLISH): K.V. KAMATH, NDB President

"There are several initiatives which have been put on the table what could be driven forward...for example coming together and developing local currency market for financing, improving trade and we can provide access to funding our trading activities, coming together under a knowledge-exchange forum, working for a cleaner world with all the knowledge that is available in China...I mean there is a whole lot of things China has done...and some of these if are put on the table, that itself becomes driving force going forward. "

Expressing their satisfaction about the outcome of the summit, experts have called for greater participation of BRICS economies in Belt and Road initiative.

ROLE IN BELT AND ROAD INITIATIVE

An Indian economist says as the fastest growing BRICS economy, India should play an increasingly active role in the belt and road initiative

SOUNDBITE: DR. RAM UPENDRA DAS, Research and Information System for Developing Countries

"If you see Asia-Europe connectivity and one belt, one road initiative, the old silk route...it connects Russia which is one member of BRICS with China and in between India. So we are three economies right there in this belt. India has been traditionally a very active partner or player in terms of cross-border transmission of people, ideas, goods, cultural exchange along the silk route. India has been an integarl part cultarally, historically, economically (of this route). And in my view, India should play a positive constructive role in this endeavour which has been proposed by China."

Analsysts also call for a greater participation for BRICS companies in infrastructure projects through the program.

SOUNDBITE: PROF. MD NALAPAT, Analyst

"Now, if this concepts become a reality, Asia and Europe are going to be linked not only in terms of highways, not only in terms of railways, but also in terms of economic synergy. So this is a very major concept. And in my view, a special accomodation needs to be given to BRICS companies. I would encourage China to look at the other BRICS countries and give special accomodation to them and their companies. So that BRICS as a grouping can participate 100 percent in One Belt and One Road."

The close-cooperation among BRICS leadership was visible at the summit.

SOUNDBITE: PROF. MD NALAPAT, Analyst

"I think its is very important that only the BRICS countries come together...the five...but bilateral relationships between BRICS countries also significantly become better. And I am very happy to see a very high-level of interaction at this top-level. At all levels, there should be similar interactions. So I would like to see in particular bilateral relationship between India and China improve and multiply rapidly."

EXPECTATIONS FROM BUSINESS PERSONS

As trade among BRICS nations has growing in recent years, business leaders are looking forward for a more-free and easy-to-trade regime within the bloc.

CNC Correspondent spoke with business persons on the issue during the summit.

STANDUP: ASHWANI UPADHYAY, CNC Correspondent

"Trade among BRICS countries today stands at just about 300 billion US dollars. And it accounts not even five percent of the trade these five countries do with the world. And that’s where lies the potential for which initiatives including the FTA and visa-free regime for business leaders among BRICS nations are being talked about.

In an interview with CNC World, government officials as well as business leaders advocate for more-free and easier movement of people as well as goods among BRICS.

SOUNDBITE: LEE LEI, China Land

"These five nations are all developing countries that have big market. And we have many common points. So right now, I think it’s better among five nations (to have) no anti-dumping (duties), no tax. So we can do free-trade. "

SOUNDBITE: RAFAEL PRADO, Apex Brazil

"There is no doubt…less bureaucracy is very important for business. We have businessmen that take visas (and) that take lot of days to get ready. So if we have all this bureaucracy down, we are going to increase our participation among countries."

SOUNDBITE: ALOK KUMA, Akis Tech Ltd, India

"Free-trade will surely bring a good opportunity for India because our SME (Small and medium Enterprises) sector will have access to these markets."

SOUNDBITE: YUNUS HOOSEN, Investment South Africa

"South Africa has done a BRICS-visa for BRICS countries, taking a lead in doing that. And countries such as Russia are following the step. So our overall aim is to highlight the opportunities and areas where we can collaborate and have complementarities. I think greater intra-BRICS trade is what we are talking about."

Furthermore, many offer a view of having one common currency for BRICS trade.

SOUNDBITE: ALOK KUMA, Akis Tech Ltd, India

"We must have one standards. So everybody…if China wishes to invest in India, it can invest in local currency. We should have one currency (among BRICS)…same as in Europe we need which will strengthen the economic growth of all the BRICS countries."